There is much debate over whether an all-in-one cloud
Those who favor the all-in-one approach say it’s the only way for all the systems to “talk to each other.” In addition to interoperability, this camp prefers all-in-one solutions because the systems have similar interfaces, single-point support and can more easily avoid double entry. A recent Saugatuck Technology survey shows that this option is increasingly popular among enterprise buyers.
On the other hand, those who prefer the best-in-class approach say piecing together a system can best meet a company’s needs without having to perform major modifications or paying for features they don’t need. By considering only one provider to manage all of your systems, you might be locking yourself into a solution that does not meet all of your needs or provide the best functionality for your business. Saugatuck suggests many of the companies that prefer the all-in-one approach simply don’t yet understand the integrative capabilities of loosely coupled business apps. The survey shows that 17 to 36 percent of survey respondents prefer best-of-breed solutions.
We ask: Why should companies have to choose between all-in-one or best-of-breed cloud accounting solutions?
With so many options today, companies should not have to pick between one or the other. Obviously, there are certain areas of your business that provide as much functionality and are integrated to begin with, such as core accounting. If you have separate vendors for accounts receivable (AR) and accounts payable (AP) functions, you might want to consider a provider that can offer a complete core accounting solution. However, companies can also integrate their preferred best-in-class software for specific functionalities such as, customer relationship management or
With that in mind, here are four questions you should ask when choosing a provider:
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What core accounting functionality do they provide? Ask the provider if it delivers all finance, HR or CRM functionality and then rate the different parts. If you need a strong core accounting system, then you should focus on the financial capabilities to ensure they can support your business. If a provider has a fantastic HR functionality but meager finance capabilities, for instance, consider if this is really a good solution.
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How is the software packaged? Just because the package has everything, does not mean you need it all. If you already have an HR solution that works really well for you, why would you move off of it?
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Do they integrate their solution with other best-in-class tools? Don’t settle for less. Remember, a good provider should be able to work with you and create the best solution for your organization. Don’t let a provider upsell additional features and functions that you don't need.
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Can they integrate rather than customize? It’s important to be able to take advantage of best-in-class tools, but if this ability requires customization, you need to think twice. Does your provider have relationships with other vendors and do they work well together? Do they provide a simple API to make systems work together, or is there a full integrated, seamless solution? Getting locked into an overly customized solution that requires you to hire a consultant for every upgrade will cost a lot of money in the long run.
At the end of the day, your company must have the solution that best meets its needs. Think about what’s most important to your business and how to get the solution you need without sacrificing important elements or paying too much.